Tuesday, April 23, 2013

Surprise runoff fees roil Detroit biz

Surprise runoff fees roil Detroit biz | Crain's Detroit Business
A DWSD internal review found the department had not been billing about 1,200 commercial businesses in the city for stormwater drainage, said Bill Johnson, a spokesman for the DWSD.
....The charges affect only Detroit businesses because the DWSD is not responsible for stormwater drainage services in suburban communities.
...."These are people that never received any sort of invoice ever for stormwater runoff," Gold said.
....While the exact amount the DWSD is owed for the unbilled drainage charges is unknown, it "could ultimately be in the millions," Johnson said.
....One city business owner, speaking on the condition of anonymity, said the stormwater drainage portion of the monthly bill he recently received was for $4,500, which will amount to $54,000 annually on his 8-acre property.
"It's going to run people away," he said. "It's a rain tax -- that's really what it is."
...Susan Harvey, senior vice president of the Canton Township office of New York-based Ashley Capital LLC, an industrial and office real estate acquisition firm, said she believes the stormwater runoff charges "are excessive and they influenced our decision not to buy any more industrial property in the city of Detroit."

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